Automotive News: GM Is Rejected by U.S. Supreme Court and Left to Face Ignition Claims, Ignition flaw has been linked to at least 124 deaths and led to 2.59 million recalls

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GM Is Rejected by U.S. Supreme Court and Left to Face Ignition Claims

The U.S. Supreme Court cleared the way for potentially billions of dollars in legal claims against General Motors Co. over a deadly ignition-switch defect, turning away the company’s appeal in a clash connected to its 2009 bankruptcy sale.

The justices, without comment, left intact a federal appeals court ruling that said the accord, which turned “Old GM” into “New GM,” didn’t block lawsuits over accidents that happened before the sale or claims that the flaw caused vehicles to lose value.

The ignition flaw has been linked to at least 124 deaths and led to 2.59 million vehicle recalls. Plaintiffs’ lawyers have estimated that claims against the company may total as much as $10 billion. read more »

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